Kenya Commercial Bank (KCB) has announced a financing support Memorandum of Understanding (MOU) with the Uganda National Association Of Building And Civil Engineering Contractors (UNABCEC) for the association’s members.
The announcement follows the official signing of the MOU by the Managing Director, KCB Uganda and UNABCEC at KCB Head offices in Kampala.
Speaking during the ceremony, Edgar Byamah, KCB Managing Director said that it is noteworthy that businesses and organizations thrive and grow organically through partnership and collaboratively working together to meet required business goals and objectives.
He commented that, “This development is a major milestone for our customers in this financial inclusion process as well as growth and expansion of the construction sector, a further demonstration of our commitment to provide appropriate financial solutions to customers through the provisions of seamless access to credit for UNABCEC members.”
The financial sector contribution to this growth can further be seen through an Economic Overview – 2019 report published by Grant Thornton on the 2020 Economic Outlook that indicated that Private Sector Lending was greatest to the Trade, Building, Mortgage, and Construction and Real Estate sectors with both sectors taking up 40% of total private sector credit.
Airtel Africa and SpaceX Announce Strategic Partnership to Launch Starlink Direct to Cell Connectivity Across Africa“This position further goes to illustrate the role partners like KCB Uganda need to play to further contribute to the Ugandan economy by enabling Ugandan businesses to thrive and acquire the required financial muscle to take on huge construction projects without having to worry about how to facilitate these projects,” Byamah added.
In his remarks, the UNABCEC President, Board Director Eng. Ronald Mugabi expressed the association’s appreciation towards KCB Uganda, highlighting the crucial part financial institutions play in the construction industry.
“The construction industry is highly capital intensive and requires quick access and flexible terms for financing projects,” noted Eng. Ronald Mugabi citing that “Prohibitive terms and conditions by financial institutions were huge barrier to their business and efficiency, especially for large projects.”
“As UNABCEC, we believe that this MOU will go a long way in ensuring that our members are catered for and remain competitive against the multinational players that have backing from their home countries,” he remarked.
